HUMLOG Institute - Hanken School of Economics

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Risk an Security in Supply Chains
Which risks do we dare to take?
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Daniel Ekwall, PhD
Senior Lecturer, at University of Borås,
Senior Lecturer, at Swedish School of
Economics, Helsinki,
Associated Professor , at Turku School of
Economics
Former Corporate Risk Manager – Security
for DB Schenker
[email protected]
+46 (0)33-435 46 57
Something new or?
Securing the flow of goods
» Aims to achieve "business as usual" at all times.
» The reasons for the interruption in the flow of goods can
be:
Legal, Illegal, intentional, unintentional.
Ex: Strikes, Theft, Sabotage / Masking, accident.
» Smuggling is an illegal and intentional act that is not to
disrupt the flow of goods, but to exploit it.
Unexpected things can happen
Supply chain vulnerability
“Is vulnerability defined as the existence of random disturbance that lead to
deviation in the supply chain of components and material from normal. ”
Source: Svensson, G. (2000)
The disturbance in the flow of goods can be:
» Deliberate or accidental
» Legal or illegal
» Direct or time-delayed
Future risks or possibilities
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Corruption
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Current sources of risks in
supply chains
MIT, 2013
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Drivers of supply chain risks
Thun, J.-H. et al. (2011)
McNamara’s 11 lessons in
strategic management
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
Empathize with your enemy;
Rationality will not save us;
There is something beyond oneself;
Maximize efficiency;
Proportionality should be a guideline in
war;
Get the data;
Belief and seeing are both often wrong;
Be prepared to re-examine your reasoning;
In order to do good you may have to engage
in evil;
Never say never; and
You cannot change human nature.
Grattan, 2006
Business tips from Breaking bad
 Practical knowledge is not
everything
 Brand and price
 Skill provides advantages
 The importance of quick decisions
 Collaborate for Success
 The Art of Negotiating
 Nurture your network of contacts
 First impressions are everything
 Costs can pay off
Mafia boss seven rules for
successful business
1. Appearing in the media when
it suits
2. Negotiate well informed
3. Was someone to trust - you get
loyal people around you
4. Have God with you
5. Was politically flexible
6. Make changes
7. Be quiet
Drafted by Bernardo Provenzano, Cosa Nostra
Thank you and remember, risks in the
supply chain can have effects on your
operations - you either adapt or suffer the
consequences
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